The financial consultant for the United Steelworkers union says $100 million per year in union wage and benefit concessions are needed to keep Bethlehem Steel Corp. healthy.

The consultant says the concessions, if coupled with additional cuts of $50 million per year from the company's white-collar employment costs, should make Bethlehem Steel profitable by next year, according to a union negotiator.

The confidential report of Lazard Freres Inc. was heard yesterday by the union's 90-member negotiating committee in Pittsburgh. The firm was hired by the union to determine whether company claims of financial distress are justified.

Without concessions, Bethlehem Steel Corp. probably would lose money this year and, at best, break even during the next two years, according to the Lazard report.

Lazard's general assessment of Bethlehem Steel indicated the company has the potential to be among the best steel producers in the world, given the right conditions. Lazard said granting wage and benefit concessions would be a good investment for the union.

The Lazard assessment doesn't necessarily mean the union will grant the company wage and benefit concessions. Two Lazard officials emphasized in the day-long meeting with the union that its report is only a recommendation.

Bethlehem Steel and the union have been negotiating to reach a new labor contract. The current three-year agreement covering 30,000 union Steelworkers at the company expires at the end of July.

Bethlehem Steel has said it needs wage and benefit cost reductions from its hourly work force to remain competitive. The company has lost nearly $2 billion in the last four years.

Substantial cuts have been made in white-collar employment costs, including several pay cuts and benefit reductions. But the company has been unable to substantially change its hourly costs because of the union contract.

It was not immediately clear how much per hour would have to be given up by the union to reach the $100-million goal, according to the source. Bethlehem Steel estimates that union pay and benefits total about $25 per hour per employee.

Two weeks ago, the union granted LTV Steel Co. concessions worth $3.15 per hour in exchange for worker profit-sharing. Ballots from the rank-and-file ratification vote on the tentative contract are now being counted.

Lazard told the union it is not necessary to give Bethlehem Steel wage and benefit cuts as high as those granted LTV, the source said. The union has said repeatedly that it does not feel Bethlehem Steel is as badly off as LTV.

Paul McHale, chief union negotiator, could not be reached yesterday for comment.

Talks broke off last week after 10 straight days so weary negotiators could return home for an Easter break. After meeting among themselves for the past two days, union members will return to the table with company officials today. Both sides say they hope to have a tentative agreement by Monday.